4184.8000 -35.25 (-0.84%)
NSE Apr 04, 2025 12:13 PM
Volume: 16,053
 

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Fine Organic Industries Ltd.
03 May 2021, 12:00AM
4184.80
-0.84%
Monarch Networth Capital Limited
Fine Organic Industries Limited (FOIL) is the largest Oleo Additives player in India and a dominant player globally. FOIL has a strong moat in Oleochemicals including High Entry Barriers, High Customer Stickiness, High Return Ratios and Strong R&D; Capabilities. FOIL is in the midst of doubling its capacity, thus helping it to improve share of Cosmetics, Feed and Food additives which will be margin accretive. Given FOIL's strong earnings visibility from new capacities and consistent 30%+ return ratios, which reflect its robust business model, we believe it is truly deserving of a premium valuation other specialty chem peers. We thus value FOIL at INR 3,300 on 26x EV/EVITDA on FY23E which gives an upside of 15% from the CMP. At current valuation of 32x / 24x FY22E / FY23E EV/EBITDA. Key risks include RM Fluctuations, Forex Fluctuation and breach of IP....
Number of FII/FPI investors increased from 164 to 170 in Dec 2024 qtr.
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